Additionally, more than 50 percent of Myspace's 500-strong workforce is expected to be laid off because of the sale.

The deal is expected to be sealed on the heels of the Sun Valley conference, the annual gathering at an Idaho resort of media and technology moguls, as well as a host of other U.S. and international luminaries.

News Corp paid $580 million in 2005 for Myspace -- once a pioneer of the social networking space -- but soon lost ground to Facebook, now the world's No. 1 social networking site.

Last year, News Corp relaunched Myspace as a social entertainment site with a focus on music, movies and celebrities.